Accounting 1AClass NotesChapter 13- Statement Cash FlowsCash flows from operating activities:Adjustments to reconcile net income to net cash flow from operatingactivities:Changes in current operating assets and liabilities:Cash flows from investing activities:Cash flows from financing activities:Cash at the beginning of the yearCash at the end of the yearCromme Inc.Statement of Cash FlowsPage 2 Accounting 1AClass NotesChapter 13- Statement of Cash FlowsThe comparative balance sheet of Cromme Inc. for December 31, 2019 and 2018, is shown as follows:Dec. 31, 2019 Dec. 31, 2018AssetsCashAccounts receivable (net)InventoriesInvestmentsLandEquipmentAccumulated depreciation-equipmentTotal assetsLiabilities and Stockholders' EquityAccounts payable (merchandise creditors)Accrued expenses payable (operating expenses)Dividends payableCommon stock, $4 parPaid-in capital: Excess of issue price over par-common stockRetained earningsTotal liabilities and stockholders' equity$625,760.00 $585,920.00227,840.00 208,960.00641,760.00 617,120.000.00 240,000.00Page 1328,000.00705,120.00 553,120.00(166,400.00) (148,000.00)$2,362,080.00 $2,057,120.000.00$424,480.00 $404,960.0042,240.00 52,640.0024,000.00 19,200.00150,000.00 100,000.00417,500.00 280,000.001,303,860.00 1,200,320.00$2,362,080.00 $2,057,120.00Additional data obtained from an examination of the accounts in the ledger for 2019 are as follows:A. The investments were sold for $280,000 cash.B. Equipment and land were acquired for cash.C. There were no disposals of equipment during the year.D. The common stock was issued for cash.E. There was a $199,540 credit to Retained Earnings for net income.F.There was a $96,000 debit to Retained Earnings for cash dividends declared.

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Description: Accounting 1AClass NotesChapter 13- Statement Cash FlowsCash flows from operating activities:Adjustments to reconcile net income to net cash flow from operatingactivities:Changes in current operating assets and liabilities:Cash flows from investing

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Accounting 1A Class Notes Chapter 13- Statement of Cash Flows Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Cash flows from investing activities: Cash flows from financing activities: Cash at the beginning of the year Cash at the end of the year Cromme Inc. Statement of Cash Flows

Accounting 1A Class Notes Chapter 13- Statement of Cash Flows Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Cash flows from investing activities: Cash flows from financing activities: Cash at the beginning of the year Cash at the end of the year Cromme Inc. Statement of Cash Flows

Financial & Managerial Accounting

14th Edition

ISBN:9781337119207

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter13: Statement Of Cash Flows

Section: Chapter Questions

Problem 13.1APR

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(Appendix 21.1) Operating Cash Flows Refer to the information for Lamberson Company in P21-6. Required: 1. Using the direct method, prepare the operating activities section of the 2019 statement of cash flows for Lamberson. 2. (Optional). If you completed P21-6 earlier, prepare the remaining portion of the statement of cash flows. (A separate schedule reconciling net income to cash provided by operating activities is not necessary.)
Statement of cash flowsdirect method applied to PR 14-1B The comparative balance sheet of Merrick Equipment Co. for Dec. 31, 2016 and 2015, is: Dec. 31,2016 Dec. 31.201S Assets Cash 70,720 47,940 Accounts receivable (net) 207,230 188,190 Inventories 298,520 289,850 Investments. 0 102,000 Land 295,800 0 Equipment 438,600 358,020 Accumulated depreciationequipment (99,110) (84,320) Total assets 1,21,760 901,680 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) 205,700 194,140 Accrued expenses payable (operating expenses! 30,600 26,860 Dividends payable 25,500 20,400 Common stock. Si par. 202,000 102,000 Paid in capital: Excess of issue price over parcommon stock 354,000 204,000 Retained earnings 393,960 354,280 Total liabilities and stockholders equity 1,211,760 901,680 The income statement for the year ended December 31, 2016, is as follows: Sales- 2,023,898 Cost of merchandise sold 1,245,476 Gross profit 778,422 Operating expenses: Depreciation expense 14,790 Other operating expenses 517,299 Total operating expenses 532,089 Operating income 246,333 Other expenses: Loss on sale of investments (10,200) Income before income tax 236,133 Income tax expense- 94,453 Net income- 141,680 Additional data obtained from an examination of the accounts in the ledger for 2016 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. c. The investments were sold for 91,800 cash. d. The common stock was issued for cash. e. There was a 102,000 debit to Retained Laming for cash dividends declared. Instructions Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities.
Exercise 1-50 Statement of Cash Flows OBJECTIVE o Walters Inc. began operations on January I. 2019. The following information relates to Walters cash flows during 2019. Required: 1. Calculate the cash provided/fused for each cash flow category. 2. CONCEPTUAL CONNECTION Comment on Walters creditworthiness.
Statement of cash flowsdirect method applied to PR 14-1A The comparative balance sheet of Cromme Inc. for December 31, 2016 and 2015, is as follows: Dec. 31,2016 Dec. 31,2015 Assets Cash 625,760 585,920 Accounts receivable (net) 227,840 208,960 Inventories 641.760 617,120 Investments 0 240,000 Land 328,000 0 Equipment 705,120 553,120 Accumulated depreciationequipment (166,400) (148,000) Total assets 2,362,080 2,057,120 Liabilities and Stockholders Equity Accounts payable (merchandise creditors) 424,4B0 404.960 Accrued expenses payable (operating expenses) 42,240 52,640 Dividends payable 24,000 19,200 Common stock, 2 par 150,000 100,000 Paid in capital: Excess of issue price over parcommon stock 417,500 280,000 Retained earnings 1,303,860 1,200,320 Total liabilities and stockholders equity 2,362,080 2,057,120 The income statement for the year ended December 31, 2016, is as follows: Sales 5,372,559 Cost of merchandise sold 3,306,190 Gross profit 52,066,369 Operating expenses: Depreciation expense 18,400 Other operating expenses 1,755,402 Total operating expenses 1,773,802 Operating income 292,567 Other income: Gain on sale of investments 40,000 Income before income tax 332,567 Income tax expense 133,027 Net income 199,540 Additional data obtained from an examination of the accounts in the ledger for 2016 are as follows: a. The investments were sold for 280,000 cash. b. Equipment and land were acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a 96,000 debit to Retained Earnings for cash dividends declared. Instructions Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities.
Statement of cash flowsindirect method The comparative balance sheet of Del Ray Enterprises Inc. at December 31, 2016 and 2015 is as follows: Dec 31,2016 Dec. 31,2015 Assets Cash 146.600 S 179,800 Accounts receivable (net).. 224,600 242,000 Merchandise inventory.. 321,600 299,200 Prepaid expenses.. 13,400 9,600 Equipment.. 655,000 537,000 Accumulated depreciationequipment.. (170,800) (132,200) Total assets.. 1,190,400 1,135,400 Liabilities and Stockholders Equity Accounts payable (merchandise creditors) .. 250,200 S 237,600 Mortgage note payable.. 0 336,000 Common stock, 10 par.. 74,000 24,000 Paid in capital: Excess of issue price over parcommon stock.. 470,000 320,000 Retained earnings.. 396,200 217,800 Total liabilities and stockholders equity.. 1,190,400 1,135,400 Additional data obtained from the income statement and from an examination of the accounts in the ledger for 2016 are as follows: a. Net income, 332,000 b. Depreciation reported on the income statement, 83,400 c. Equipment was purchased at a cost of 162,800 and fully depreciated equipment costing 44,800 was discarded, with no salvage realized. d. The mortgage note payable was not due until 2018 but the terms permitted earlier payment without penalty. e. 10,000 shares of common stock were issued at 20 for cash. f. Cash dividends declared and paid. 153,600 Instructions Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.